AI market cap drops 14.9% to $5B as BTC briefly falls to $112K.

AI market cap drops 14.9% to $5B as BTC briefly falls to $112K.

The global cryptocurrency market witnessed a broad-based recovery on Monday, with Bitcoin leading the charge and major altcoins posting significant gains. As of 11:23 am IST, Bitcoin was trading at $114,345, up 0.7%, after briefly dipping to $111,800 over the weekend [1].

Ethereum surged 2.6% to $3,533, while altcoins like Cardano, XRP, and Stellar posted notable gains, rising up to 8% [1]. The total global crypto market capitalisation rose by 1.23% to $3.71 trillion, according to CoinMarketCap. Altcoins surged as risk sentiment improved, with XRP jumping over 5%, Cardano gaining 3%, and Dogecoin adding 2.4% [1].

The rebound in Bitcoin and altcoins signals renewed confidence from both institutional and retail investors. Bitcoin’s bounce from weekend lows and Ethereum’s support at the 200 EMA show strong technical resilience. Markets are closely watching US CPI data and the Fed’s next moves [1].

Traders are betting on softer US monetary policy after July payroll data disappointed, with only 73,000 new jobs added. The unemployment rate edged up to 4.2%, and jobless claims reached a six-week high. These indicators have increased speculation around a potential rate cut by the Fed in its upcoming meetings [1].

“The rebound in Bitcoin and altcoins signals renewed confidence from both institutional and retail investors,” said Riya Sehgal, Research Analyst at Delta Exchange. “Bitcoin’s bounce from weekend lows and Ethereum’s support at the 200 EMA show strong technical resilience. Markets are closely watching US CPI data and the Fed’s next moves” [1].

With CPI data due on August 12 and US jobless claims on August 7, traders will closely track macro indicators for cues on future Fed policy and the broader trajectory of digital assets.

References:
[1] https://m.economictimes.com/markets/cryptocurrency/crypto-news/bitcoin-steadies-near-114k-amid-fed-rate-cut-hopes-ethereum-cardano-xrp-jump-up-to-8/articleshow/123090770.cms